ITE Group has announced “record results” in what it describes as its lesser biennial year.
Releasing preliminary results for the year ended 30 September 2012, the international events and exhibitions specialist reported good trading in core markets and revenues up 11 per cent to £172m.
The Group announced headline profits up three per cent to £53m and strong cash generation, with net cash of £20m at 30 November 2012.
The Group predicted “good trading conditions” continuing into 2013, with £95m of revenues booked for 2013.
Group Chief Executive Russell Taylor said the record results reflected the strength and breadth of the events portfolio and a first time contribution from acquisitions.
“The relocation of Mosbuild this year was successful and its permance underlines the resilience of this event. We have benefited from good trading conditions in our core markets, which are continuing into 2013.”
He added that ITE was well positioned in growth markets and well placed to continue growth, “both organically and through selective acquisitions”.
Non Executive Chairman Marco Sodi admitted there had been competitive activity in the Group’s largest market, Moscow. “The effects of this new competition have now been absorbed into our results and the trading conditions in our principal markets continue to be buoyant.
“On a like-for-like basis revenues are circa four per cent ahead of last year, despite movements in exchange rates (principally in euro to sterling) which have reduced average Sterling yields by four per cent against this time last year.
“The Group’s portfolio of events are perming well and operating in markets where growth prospects are good. Strong cash flow and an ungeared balance sheet places the Group in an excellent position to continue with its strategy of growing its business both organically and through selective acquisitions. The Board is focused on the execution of this strategy, and remains confident in ITE’s future prospects.”
ITE Group also reported it had strengthened its position in the Indian market with the acquisition by wholly owned subsidiary Airgate Holdings, of 28.3 per cent of the shares of Asian Business Exhibitions and Conferences (ABEC). ABEC was acquired from Qatar investment bank QInvest for a total consideration of £14m, payable in cash upon completion.
ABEC runs 19 major events across 11 vertical markets including construction, architecture, design, education, lifestyle, real estate, and oil and gas.
ABEC’s eight per cent market share makes it India’s largest private exhibition organiser.
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